JULY-SEPTEMBER 2011 PROFIT FROM A WORLD OF CONNECTED DEVICES

M2M Now: ISSN 2046-5882 VOLUME 1 ISSUE 3 Check Out Our Website! www.m2mnow.biz TALKING HEADS Wyless CEO’s strategy: Faster to market and simpler supply chains

AUTOMOTIVE M2M In-carIn-car communicationscommunications poisedpoised toto getget aa wholewhole lotlot smartersmarter

SMART ENERGY Do energy displays work? Research Results Inside >>>

M2M SERVICE PROVIDERS OK, so who is the fairest of themthem all?all? WeWe namename names!names!

SAN DIEGO PREVIEW OPERATOR M2M is a major focus at CTIA CASE STUDY Enterprise & ApplicationsTMTM M2M is connecting Russia to its global future,future, sayssays MTSMTS ALSO INSIDE! ▼

Trouble at the Top: Everything Everywhere? Well, a bit ‘all over the place’ really Expert Opinion by RACO Wireless CEO • What’s On in M2M? 25 Events Globally ▼ Product, People & Market News Inside or for the latest see www.m2mnow.biz Choosing the most efficientroute is easy…

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Check Out Our Website! www.m2mnow.biz

CONTENTS 3 9 TALKING HEADS COMMENT 4 by the Editor, Jeremy Cowan.

MARKET NEWS 5 Commercial partnerships, business units, association tie-ups

PRODUCT NEWS 6 Cloud-based platform, asset management, network intelligence

PRODUCT NEWS 7 Gateway development, water meter, dynamic pricing e-health

PEOPLE NEWS 8 join M2M Now, Greens unhappy, mobile payments

TALKING HEADS 9 Wyless’s CEO sees a Perfect Storm of innovation bringing information AUTOMOTIVE into the enterprise

13 AUTOMOTIVE 13 In-car communications are about to get a whole lot smarter, says Georgina Elrington

EXPERT OPINION: SMART METERING 16 Do energy displays work? Patrick Caiger-Smith shares some answers

M2M NETWORK OPERATORS 18 Who is best positioned? Kathryn Weldon analyses the service providers

EVENT DIARY 21 What’s On and Where to Go for 25 M2M events worldwide M2M NETWORK OPERATORS EXPERT OPINION: SATELLITE COMMUNICATIONS 22 18 Brian Bell reports that global data satcoms are taking M2M into new industries CTIA EVENT PREVIEW 24 Expect the M2M Zone in San Diego to buzz with healthcare, energy, transport and new ideas

SERVICE PROVIDER CASE STUDY 26 M2M is connecting parts of Russia in unprecedented ways. We look inside MTS

EXPERT OPINION: AUTOMOTIVE 28 RACO Wireless want to future-proof your vehicle in a wireless world

M2M IN VIDEO 30 VENDOR CASE M2M needs advocates in the spotlight now. Run VT... STUDY 33 RESEARCH REVIEWS 32 We take look at recent fleet management and telemedicine market reports

VENDOR CASE STUDY 33 Bryan Eagle talks about SIs, house building, and a bit of asset management

THE BACK PAGE 34 Blood on the carpets at Everything Everywhere

Cover Photo: Dan McDuffie, CEO of Wyless Group © WeKnow Media Ltd 2011 Wyless describes itself as the leading global M2M managed services provider. Its resilient platform, All rights reserved. No part of this publication may be copied, stored, published delivered in partnership with the world’s largest network operators, provides secure, or in any way reproduced without the prior written consent of the Publisher. reliable communications with wireless devices in over 120 countries. Powerful M2M Now is distributed free to selected named individuals worldwide who meet the Publisher's terms of Circulation Control. If you would like to apply for a regular management tools offer real-time reporting and control over all devices connected to free copy supplied at the Publisher's discretion visit www.m2mnow.biz If you do its network. Wyless delivers a comprehensive suite of managed services with not qualify for a free subscription, paid subscriptions can be obtained. Subscriptions unrivalled expertise, professional support and competitive pricing. The company says for 4 issues per year cost £48.00 worldwide (or US$79 / €59) including post and packing. M2M Now magazine is published quarterly. it enables its customers and partners to deploy M2M applications and services faster, cheaper and more effectively. www.wyless.com Send your News to the Editor: [email protected] • www.m2mnow.biz

CONTENTS M2M Now July - September 2011 3 COMMENT

M2M starts to simplify

M2M Now always focuses on building profitability, and that means improving services. Take a look at our interview (starting on page 9) with Dan McDuffie, Wyless Group’s CEO who Jeremy Cowan zeroes in on some key factors that, if handled right, could quickly boost M2M services. Two in particular caught my eye; the complexity of service delivery chains and the need to speed time-to-market for new services. You might think that one answer to that is to have a single end-to-end provider of M2M services – as the Americans say, ‘from soup to nuts’. But he goes on to insist: “No matter what anyone says, there is no viable single-operator global SIM today.” And before this descends into a bar fight with all the carriers, he adds, “(Wyless) are becoming increasingly multi-operator.”

Well, it seems a lot of people have been thinking the same way. I’ve just got off the phone from a briefing with Marc Sauter, global head of strategy at Vodafone M2M. Today the giant mobile network operator launched ... you guessed it, a new multinational, bundled service with leading partners CalAmp Corporation, Digi International, MC Technologies and Sierra Wireless. Vodafone will now provide a single point of customer contact to manage the development and deployment of national and multinational M2M services in all kinds of industries. A wide range of terminals, routers and applications have been pre- configured and tested to run services over Voda (and partner) networks and its new Global Data Service Platform. The news came too late for these pages but, as ever, you’ll find the first M2M news at www.m2mnow.biz

I’m a petrol-head so our Automotive Issue was always going to be a favourite, but I defy you to miss a fascinating tour of Connected Driving (starting on page 13). Serious money is being made in this area by the likes of Qualcomm, and drivers of Ford, BMW and Nissan vehicles (to name just three) are seeing, and paying for, the benefits.

There’s just room to mention the hard-hitting report from Current Analysis (pages 18-20) that answers the question of which global connectivity providers are best positioned to offer M2M services. One or two may want to look away now! Have a good read.

Editor, M2M Now [email protected] @jcm2m

EDITORIAL ADVISORS

EDITOR & PUBLISHER DESIGN Jeremy Cowan Jason Appleby Tel: +44 (0) 1420 588638 Ark Design Consultancy Ltd [email protected] Tel: +44 (0) 1787 881623 © WeKnow Media Ltd 2011 DIGITAL EDITOR CIRCULATION All rights reserved. No part of this Nathalie Bisnar Circdata Tel: +44 (0) 1635 869868 publication may be copied, stored, published or in any way Tel: +44 (0) 1732 808690 reproduced without the prior John Aalbers, Erik Brenneis, Stuart Cochran, [email protected] PUBLISHED BY written consent of the Publisher CEO, Volubill Head of Vodafone CTO, Evolving WeKnow Media Ltd. M2M Systems BUSINESS DEVELOPMENT DIRECTOR Suite 28, 30 Churchill Square, M2M Now: ISSN 2046-5882 Cherisse Draper Kings Hill, West Malling, Tel: +44 (0) 1732 897646 Kent ME19 4YU, UK M2M Now is distributed free to [email protected] Tel: +44 (0) 1732 897646 selected named individuals worldwide who meet the Publisher's terms of Circulation SALES MANAGER DISTRIBUTION Control. If you would like to apply Chris Beck UK Postings Ltd for a regular free copy supplied at Tel: +44 (0) 1732 897652 Tel: +44 (0) 8456 444137 the Publisher's discretion visit [email protected] www.m2mnow.biz If you do not qualify for a free subscription, paid subscriptions can be obtained. Ann Hatchell, Tony Jackson, Marie-Paule Odini, Fergus O'Reilly, OPERATIONS & EVENTS DIRECTOR Subscriptions for 4 issues per year Chief Solution Charlie Bisnar cost £48.00 worldwide (or US$79 Bridgewater Director, Telecoms, HP CMS Expert, SAP Tel: +44 (0) 1732 897641 / €59) including post and packing. Systems Convergys Smart Revenue Solutions Consume to Cash [email protected] M2M Now magazine is published quarterly.

4 M2M Now July - September 2011 COMMENT MARKET NEWS

Novatel picks Acal for Enfora M2M portfolio

Novatel Wireless has selected Acal BFi as telemetry markets for GPS enabled reportedly enhance a distributor in the UK, Italy and Germany products used in the tracking, the visibility and for Enfora’s M2M portfolio. Enfora’s , transportation and automotive markets. control of fixed assets and emerging intelligent M2M in remote locations. devices, modules and platforms “Working with a team recognised for its In mobile workforce add intelligent monitoring, control and excellent customer service, strong technical monitoring, Enfora communications functions to asset support and high-end design-in services intelligent devices tracking, telemetry and embedded was a key factor when selecting a coupled with the applications. distribution partner,” said Novatel Wireless’ N4A software CMO, Rob Hadley. “We are excited to platform are said to Enfora’s products consist of intelligent partner with Acal BFi and to bring our provide advanced GSM/GPRS and UMTS/HSPA modules and comprehensive and smart M2M solutions functions such as Novatel intelligent devices combined with N4A to key European customers.” person down, Wireless’ CMO, management software. These support positioning and Rob Hadley wireless connections for multiple markets In high-end asset tracking applications, interactive including utility, security, telehealth and Enfora’s Spider AT and N4A platform can communications.

Oninit and Traak Systems aim to turn real-time data into actionable insights

London-based Oninit Consulting, an focus to other sectors including an appliance with a management Informix services company and Traak transportation, retail and manufacturing. dashboard customised to each industry Systems, which provides predictive sector or individual customer need. It can analytics systems, have announced a Informix and the Traak CEP engine are said accept inputs from a vast array of sources partnership to jointly develop solutions for to have a complementary technical fit. The including smart meters, sensor networks, the energy, renewable energy and utilities Traak engine deals with torrents of real- RFID, Wi-Fi and other live data inputs. marketplace. time information. In order to analyse it effectively within a historical context the Colin Balfour, managing director at Traak These systems will leverage the native Time persistence layer (database) must be able to Systems says: “We needed a database Series data handling capabilities of Informix accept and process the data in real-time which would enable data to load extremely and the analytical, real-time, next event without demanding disproportionately fast, be processed quickly and be efficient predictive capabilities of the CEP engine. expensive server resources. to query. Informix has the capability, speed For the first time, companies will be able to and efficiency required. We are confident receive, interpret and understand vast The Informix efficiency with this type of it’s a great fit, not only because of its quantities of real-time information and data is up to 60 times better than a technical capabilities, but also because it transform this for immediate action in commodity relational database and gives comes from IBM which is fully engaged in dynamic business situations. Traak and the Traak engine the highest possible levels developing the smarter solutions which our Oninit will focus initially on the energy and of performance at a competitive price increasingly smart planet will need.” utilities markets and later broaden the point. The Traak CEP engine is deployed as

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M2M to be key Telefonica Digital will be headed by The joint certification and test sector in Telefónica Matthew Key, previously in charge of the O2 programme will certify wireless and business unit properties. The unit will focus on developing wired devices that support IP-based Telefonica has set up a the firm’s video and entertainment, smart energy applications and digital services unit advertising, e-health, financial services, end-user devices such as combining areas such cloud and M2M sectors. thermostats, appliances, and as e-health, cloud and M2M. The unit, gateways. It will address devices called Telefonica Digital, will have around Four associations lead breakthrough operating on one or more of a 2,500 employees and be based in London, certification programme for SEP2 variety of underlying UK. The London office will coordinate The HomePlug Alliance, Wi-Fi Alliance, connectivity technologies, regional offices in Madrid, Sao Paulo, Silicon HomeGrid Forum, and ZigBee Alliance are and provide the smart Valley, USA and parts of Asia. to create a Consortium for Smart Energy energy ecosystem – Profile (SEP) 2 Interoperability. The including utilities, product The plan is to split the company into consortium will enable organisations whose vendors and consumers regional hubs in Europe and Latin America. technologies support communications over – assurances of A global resources unit has also been Internet Protocol (IP) to certify SEP 2 application and device created, headed by Guillermo Ansaldo, according to a consistent test plan, and it is interoperability. previously head of Telefónica Spain. being structured as an open organisation.

www.orga-systems.com M2M Now July - September 2011 5 PRODUCT NEWS

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Cisco launches hybrid home wireless SensorLogic’s new M2M platform to system for consumers Cisco has introduced the Linksys® X- accelerate application deployment series, a range of hybrid home wireless products enabling consumers to simply SensorLogic, Inc., the Boston-based cloud-based platforms create a high speed wireless home provider, has launched version 3.4 of its SensorLogic Service Delivery network that works with both DSL and Platform, designed to speed development and deployment of M2M cable broadband connections. The Linksys applications. The release is said to enhance support for the X-series reportedly enables consumers to development of wireless applications such as insurance telematics, access the internet and enjoy reliable smart package tracking, security, and asset monitoring and wireless access on all their wireless devices management. around the home, such as laptops, tablets, , game consoles and Paul Henderson, The platform’s new features include integration with GSM wireless internet-ready televisions. SensorLogic: The provisioning systems, trip, route, geofence and shipment services, infrastructure hybrid location services, and support for advanced tracking and “The number of Wi-Fi enabled devices in that every monitoring devices. the home exceeds 1.1 billion today and is application growing by the minute,” said Jens needs “Now that intelligent devices are increasingly connected, Hofmeister, director product management enterprises, OEMs and network operators are hungry for new at Cisco. “Consumers need to connect applications that can deliver valuable managed services to their customers. more and more devices, including TVs, SensorLogic is helping proliferate this next generation of M2M by providing the Blu-ray players, game consoles and set- infrastructure that every application needs as an easy-to-use, cloud-based web top boxes, to their wireless networks, service,” said Paul Henderson, Vice President of Marketing and Product Management proving the importance of wireless for SensorLogic. “Version 3.4 continues to expand our platform with customer-driven connectivity for today’s home features that help companies lower cost of ownership and improve time-to-market for entertainment experience. Viewing a future-proofed M2M applications that will grow with their businesses.” video clip or streaming music is not fun when your wireless connection drops The SensorLogic Service Delivery Platform v3.4 offers open device communications and periodically or when wireless coverage is protocol translation, device data storage and management, configurable business rules not available at all.” and complex event processing, location-based services with geospatial triggers, alerts and notifications, secure device group management, data warehousing, and reporting. American Roamer’s Global Coverage Analyzer boosts network intelligence Web-based application aids A new version of Global Coverage mobile asset management Analyzer (GCA) has Bryan Darr, been issued by M2M products and services provider, Numerex has launched Fastrack Fleet for mobile American Memphis, Tennessee- asset and fleet management. Fastrack Fleet integrates a configurable web-based Roamer: based American application with monitoring devices that can connect via satellite or cellular. The power Worldwide Roamer. This is the to aggregate, analyse and act on data collected from a variety of vehicles and assets in mobile coverage company’s cloud-based one integrated application console helps users to manage complex fleet and logistics database interactive mapping operations, says Numerex. application for viewing and comparing 2G, 3G and 4G mobile Beyond standard vehicle tracking and telemetry features, it also includes a business network coverage in more than 200 rules platform to help enterprises manage their mobile assets. The platform can be countries. GCA now includes a feature to configured to produce exception reports such as geofencing or speed violations, as view mobile network coverage in multiple well as summary reports of aggregated vehicle data such as idle time. countries simultaneously. Another benefit for fleet owners is said to be a more intuitive web-based “Unlike any other option available in the administration console, allowing the configuration of various rules and user privileges industry, Global Coverage Analyzer allows including blocking users from certain application modes or functions. easy and tailored accessibility to American Roamer’s worldwide mobile coverage Numerex will continue to develop features for Fastrack Fleet that will enable Value- database, the largest and most accurate Added Resellers to differentiate and provide their customers with unique in the world – delivering a very important configurability. One enhancement for the US version will be an ignition-disable and powerful solution as the mobile function that lets the system administrator remotely disable a vehicle’s starter. Other market becomes more globally enhancements include adding the recently launched satellite-based asset tracker which competitive and technologically diverse,“ supports wireless sensor data in addition to location information, creating an said Bryan Darr, CEO of American environment where both cellular and satellite-based asset management data can be Roamer. managed in one application.

www.orga-systems.com 6 M2M Now July - September 2011 PRODUCT NEWS

Sprint uses new 3G iDigi development kit to show the power of cloud-enabled M2M communications

Digi International has introduced used to generate this experience to get applications over the internet. The kit the iDigi® Gateway Development Kit with customers started with cloud connecting supports Sprint, Verizon, AT&T Wireless, 3G cellular connectivity to demonstrate their own devices.” Vodafone and other global 3G GSM how remote devices can be connected networks. wirelessly over cellular networks and easily “Sprint is using iDigi Gateway integrated into a cloud environment. It Development Kits and finds them to be contains all of the hardware, software and very effective in providing training and documentation necessary for ZigBee-to-3G capability demonstrations to our field cellular internet connectivity, along with engineers and technical sales resources,” iDigi Web services and Digi development said Wayne Ward, vice president of tools. Emerging Solutions, Sprint. “The kits allow us to easily conduct concept trials with our “Many view M2M wireless connectivity to customers and prospects. They are a the cloud as something that can only be valuable tool in helping to demonstrate the done with great investment in time, power of M2M.” resource and money,” said Larry Kraft, senior vice president of global sales and The iDigi Gateway Development Kit is marketing, at UK-based Digi International. designed to make it easy to set up a ZigBee “This is no longer true. Our iDigi Gateway network, upload a custom iDigi Device Development Kit demystifies remote M2M Integration Application (iDigi Dia) and wireless connectivity by providing a proof- provide seamless connectivity to the iDigi The iDigi® Gateway Development Kit of-concept experience in less than an hour. Device Cloud™ for Web services with 3G cellular connectivity And we provide all the sample applications integration to standard business

Silver Spring goes Freestyle for smart water meter

Silver Spring Networks and Freestyle water is a challenge for water utilities to remotely communicate, manage and Technology are integrating the Freestyle around the world. By gaining visibility in support water meters without expensive Zigbee-based smart water meter module water usage, utilities and consumers alike and extensive duplication of infrastructure. with the Silver Spring Smart Energy can better manage consumption as well as Platform. This partnership supports both more quickly and accurately identify leaks, They can also maintain security, data companies’ vision of providing an optimise water flow and the distribution of separation and privacy. The smart water interoperable, open and flexible water to customers. meter module is the first joint project for networking platform to enable the Freestyle and Silver Spring and will help development of next-generation smart grid With Freestyle Technology’s Zigbee-enabled utilities reduce meter-reading costs, reduce applications for utilities and consumers. smart water meter module, utilities can estimated bills, improve billing accuracy leverage the Silver Spring networking and more quickly identify water leaks and Providing clean and reasonably priced platform and Advanced Metering solution backflow.

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SmartEnergy Suite periods of high throughput. patient information within electronic brings dynamic pricing health records, even at an accident The number of worldwide smart home GeaCom medical device is site or while in transit to hospital. installations is expected to reach 5.38 linked to e-health records million by 2015, so energy pre-payment has GeaCom, Inc. has selected the integrated According to a 2003 study, an to become smarter. Orga Systems aims to AirPrime™ MC8355 embedded average of 31 interpreter errors meet this demand with its SmartEnergy wireless module from Sierra Wireless occur per encounter with Suite for accurate individual and dynamic (NASDAQ: SWIR) (TSX: SW) to provide the patients who have limited rating and billing in real-time. 3G wireless connection for GeaCom's English proficiency. handheld, multilingual medical Communication barriers Energy suppliers can now enable dynamic communication device, Phrazer®. Phrazer often result in errors in pricing, configured by a centralised rating helps patients and carers to overcome medication and treatment, engine, to ensure accurate prices and differences in language, culture or literacy misdiagnoses, and prevent fraud through pre-payment and exchange critical medical information. caregiver mistakes that schemes. The system also allows emergency can cause the patient re-loads, temporary credits and can avoid The Phrazer device can use a cellular serious harm or even negative pricing or grid congestion in network to instantly access and update death.

www.orga-systems.com M2M Now July - September 2011 7 PEOPLE NEWS

Vodafone M2M's Head joins advisors to M2M Now

M2M Now is pleased to report that Erik Brenneis, the Head of Vodafone M2M globally, has joined the growing list of editorial advisors to M2M Now.

Erik joined Vodafone Global Enterprise recently and has overall responsibility for driving Vodafone’s growth in the machine-to-machine (M2M) market. He came to Vodafone from Cinterion Erik Brenneis Wireless where he was Chief Sales Officer and a member of the company's Executive Management Board since 2005. Prior to Cinterion, Erik was Vice President Sales at Landis+Gyr Switzerland. Before that he worked in various functions with Siemens in Germany and the US.

On top of these qualifications he holds a Masters degree in Electrical Engineering and a Bachelor in Business Studies, and is fluent in English and French in addition to his native German.

"Over the next five years, we're going to see a dramatic breakthrough in M2M applications as organisations realise the unheralded potential it represents for revenue generation and improved customer satisfaction. I joined Vodafone Global Enterprise at the cusp of a transformation in the M2M marketplace," he said.

Supported by a dedicated global team of M2M specialists, Erik is responsible for helping Vodafone customers to develop new service-based customer propositions and revenue streams, enhance business operations, improve functionality and environmental stewardship, and to connect their business with its end users.

Our Editorial Advisors can be viewed at: www.m2mnow.biz/category/contributors/editorial-advisory-board/

Green Party in The party’s federal MP for Saanich, These forecasts represent the gross Canada calls for a Elizabeth May, added: “The Green merchandise value of all purchases or the halt to smart meter Party of Canada, through a resolution of value of money being transferred. installations our entire membership, has called for The Green Party of the current inadequate Health Canada The Strategies report British Columbia (BC) regulations to be upgraded to the reveals that all segments will exhibit two in Canada has called equivalent of the EMF regulations in to three times growth over the next five Jane Sterk, for smart meter Germany.” years. This growth will be driven by the Green Party of installations to be rapid adoption of mobile ticketing, NFC British stopped until a proper However, the party was keen to stress contactless payments, physical goods Columbia energy plan has been that it supported the development of a purchases and money transfers as people leader: developed. “If smart grid, but said in a statement that in both developed and developing Understand something might be smart meters, “may be one small and countries use their devices for everyday the dangers dangerous we should expensive component. The type of meter transactions. not use that something should be the last part of the plan and until we have come to understand those only implemented if they are proven Some 20 countries are expected to dangers or the lack thereof,” said Green cost-effective and safe.” launch NFC services in the next 18 Party leader, Jane Sterk. months, resulting in transactions approaching $50bn worldwide by 2014. The party has called for feed-in tariffs, Meanwhile, the need for financial access time of day pricing, incentives for Mobile payments to hit in developing countries is such that active conservation, and a distributed grid. A US$670bn by 2015 mobile money users will double by 2013 cost-benefit analysis needs to be The value of mobile payments for digital and drive transaction values accordingly. presented to the public, it says. and physical goods, money transfers and Near Field Communications (NFC) The top three regions for mobile “Before we blanket install any new transactions will reach US$670 billion by payments – the Far East and China, technology, a real plan must be put to 2015, according to a recent study by Western Europe, and North America – the regulator and the people of BC,” Juniper Research. The estimate for will represent 75% of the global mobile said Sterk. 2011 is $240 billion. payment gross transaction value by 2015.

www.orga-systems.com 8 M2M Now July - September 2011 TALKING HEADS

M2M: Transforming the world we live in

If you want to get under the skin of M2M services a good place to start is with an organisation with global experience, working with multiple network operators, and combining the attributes of MVNO, MVNE and Managed Service Provider. Here, the editor, Jeremy Cowan quizzes Wyless’s CEO, Dan McDuffie about current trends in M2M and Wyless’s response to them.

Jeremy Cowan, M2M Now: What are the of complexity for ASPs, large enterprises and OEMs emerging trends that are most likely to affect seeking to take their products and services around the M2M industry during the next couple of the world. No matter what anyone says, there is no years? viable single-operator global SIM today. In fact, we Dan McDuffie is are becoming increasingly multi-operator as time CEO of Wyless Dan McDuffie, Wyless: In M2M, the value chain goes by, especially as more and more MNOs jump Group. is being compressed and as a result both MNOs in with their own M2M service offerings. and MVNOs are becoming more end-to-end in their service offerings. The MNOs themselves have The leaders in the space will be the ones who can woken up to the huge opportunities of M2M and successfully navigate this complexity and turn it are now making it much easier for partners to into an asset for their partners. onboard onto their networks, but time-to-market can be high and supply chain complexities still exist. M2M Now: So, what product and service developments can we expect to see from Increasing globalisation is revealing significant levels Wyless over the same period?

M2M Now July - September 2011 9 TALKING HEADS

The company works across all M2M verticals including healthcare, metering, asset management, payments, location-based services, security (pictured left), and industrial automation (above).

away from the customer to implement the support structure. Instead, we are offering turnkey solutions built on years of experience implementing network and connectivity solutions with a number of MNOs across the world.

M2M Now: In terms of real solutions, what does ‘managed services’ mean? “The leaders in the space will be the Wyless: First off, it means that we are providing a Wyless: This year, Wyless has really focused on secure, managed wireless data network with our ones who can continuing to broaden our range of managed own patented network technology, delivering global connectivity with private fixed IP addressing. successfully services with the goal of becoming more open and flexible in our business model. The MVNO moniker We host private APNs and operate our own navigate this in the M2M world is largely a misnomer; we are activations gateways. We have our own service not ‘virtual’, although some MVNOs are. The same delivery platform, called Porthos, that handles complexity and turn applies to the MVNE label, since we are more than provisioning, activations, billing, network it into an asset for just ‘enablers’. In reality, companies like Wyless are management, support, and advanced reporting. a blend of MVNO/MVNE and ‘Managed Services This gives our customers and partners complete their partners.” Operators’. control over their M2M solutions globally. Dan McDuffie, We have networks connected to MNOs, activation All of this is supported by APIs that enable our Wyless gateways and billing systems, some core network partners to bring management functionality directly and some edge network, and we have professional into their applications for tightly integrated services, engineers and technical support teams. All solutions. When you bring all this together and of these elements can be leveraged in many combine it with uplinks into multiple operators different ways, depending on the business case and worldwide, you have a very powerful platform for the vertical. growth.

Our plan has always been to open it all up and The flexibility of our offering means that in some offer the entire company as a service, and that’s cases we are not even acting as a data reseller – we exactly what we’ve done. We like to colour outside are helping other companies connect to MNOs of the lines. We are enlarging the scope of the without selling the data or the SIM card. These traditional wireless package, and taking the onus companies are leveraging our expertise in providing

10 M2M Now July - September 2011 Wyless recently deployed single purpose iPads, as demonstrated here by McDuffie, for use worldwide as data collection devices in clinical trials for the pharmaceutical industry.

APNs and VPNs with private fixed IP services. We logistical challenges when bringing new M2M are at the stage where customers can even come to solutions to market. By building a key partner eco- us and bring their own operator relationships, and system across all of these areas and increasingly we give them a platform to manage the everything, integrating the delivery of these services within our even to the point where ASPs are becoming platform, we can greatly reduce the complexity and resellers outright. expense of developing, deploying and maintaining M2M solutions. That said, deploying a successful M2M solution is more than just providing a platform and leaving the We also strive to make sure that we’re the easiest customer to just get on with it. So Wyless provides company to work with and we have built our one-stop support and consultancy from business on our relationships with our partners development through to deployment. We want to across the eco-system, the cornerstone of which is help ensure that projects are well designed, well the MNOs and our joint customers. executed and supported through their lifetime so that our partners continue to maximise their M2M Now: Could you tell us about some of investments in the connected M2M space. your customers’ applications and how they are benefiting from the Wyless offering? We understand that each application has its own unique requirements and that our partners and Wyless: We work across all the verticals including customers need a broad range of highly specialised healthcare, metering, asset management, services. To that end, Wyless can help with hardware payments, location-based services, security, procurement, application development, supply chain industrial automation, and more. management, logistics / lifecycle management and asset management. In short, we can help vastly A growing trend is our partners’ use of our simplify the complexities and costs of developing, managed services platform to automate and deploying and maintaining M2M solutions. manage their distribution. For example, one of our partners is a security panel manufacturer using our M2M Now: In a competitive and growing Porthos to deliver SIMs and data plans to their market like M2M, how is Wyless dealers (including activations, billing and network differentiating itself from its rivals? management) under their own branded version of our platform. Wyless enables them to rapidly build Wyless: One of Wyless’s key differentiators has their channel and we provide capabilities for their always been our wealth of experience in helping dealers to offer a variety of value-add services to our partners and customers solve deployment and their onward customers.

M2M Now July - September 2011 11 the complexity of dealing with different service management platforms, different APIs, different billing and rating policies and different supply chain rules, not to mention networking, onboarding and support organisations.

A global enterprise that is deploying scaled, fixed wireless devices across, say, a dozen countries on three or four continents cannot be expected to By re-using our existing Another example is a global industrial services manage the four or five wireless conglomerates poles and using clean solar company. We provide them with a fully managed required to cover this business effectively. power, these new coin and private wireless network that enables them to card meters are a win-win communicate with their devices anywhere in the M2M Now: Given that M2M services have for customers, the city, and world (currently in over 50 countries). They have been around for over 20 years, why is there the environment." - Los Angeles Mayor integrated our APIs into their remote service, finally acceleration in the market? Villaraigosa providing their customers with enhanced, proactive asset monitoring, reducing maintenance costs and Wyless: We are in a ‘perfect storm’ of market downtime. Then they use our billing management conditions that is causing innovation across and reporting to invoice their subsidiaries under industries, away from landline-based technologies different cost centres. This solution gained industry and towards wireless. The evolving eco-system is recognition through a Value Chain Award from offering new tools to solve the challenges and Connected World and a Global Telecoms Business complexities of developing and deploying M2M Award for machine-to-machine services innovation. solutions, resulting in faster time-to-market. All this is helping companies around the world to find new For these partners and many more, Wyless is ways to bridge information into the enterprise in managing the entire end-to-end solution of the order to offer new services. supply chain around the cellular connectivity, letting the OEM / ASP focus on their product and Over the past year, we’ve seen the market explode application. in nearly every direction and we expect to see continued aggressive growth across most of the M2M Now: Do you rely on multiple carriers to verticals that operate on our network. As the support your global coverage strategy? benefits of implementing M2M solutions become clearer, more enterprises will be taking on that Wyless: We take pride in our claim of continually challenge and finding new ways to use the cellular expanding our global reach, and we currently have networks to deliver innovative services. coverage in more than 120 countries. But you cannot address the global markets solely through M2M Now: What new and innovative . In fact, more and more applications applications or verticals do you see emerging? demand local connectivity and even diversity within a local market. Wyless has 10 MNO connections Wyless: One of the great things about being so and in some cases multiple uplinks into the same horizontal is that we see tons of new and exciting M2M Jargon Buster MNO. So today, we host something like 15 or 16 products coming onto the network. For instance, APNs on those 10 MNOs and this is growing we recently deployed single purpose iPads, which API: Application are being used worldwide as data collection devices Programming Interface literally monthly. We expect to have uplinks into 12-14 MNOs by the end of 2011 and we will in clinical trials for the pharmaceutical industry. APN: Access Point Name continue to follow this strategy aggressively in They’re taking an embedded cellular consumer ASP: Application Service order to meet our partners’ demands. device and using it for an enterprise application in Provider the medical space, and have deployed to doctors in IP: Internet Protocol The MNOs have made this possible by opening dozens of countries. All of the elements of the MNO: Mobile Network their networks to onboarding partners, resellers M2M network that we’ve built are at work in this Operator and wholesalers, by pursuing partnerships with application: the private IP network for privacy and MVNE: Mobile Virtual systems integrators, engineering firms and software security, the global capabilities, the supply chain Network Enabler providers, and by making large, complex solutions services and billing. MVNO: Mobile Virtual easier to onboard through service management Network Operator platforms and APIs. I think we’re going to see a growing trend of OEM: Original blurring lines between embedded mobile devices, Equipment Manufacturer Yet in large-scale, global deployments, the consumer and enterprise applications and M2M. SIM: Subscriber Identity complexity remains for the simple reason that The greatest thing is that we are transforming the Module several network operators are needed to deliver world in which we live. It’s rewarding to be part of VPN: Virtual Private cost-effective, scalable solutions across several an industry that is creating innovation and making Network markets. With multiple network operators comes the world a better place. How cool is that?

12 M2M Now July - September 2011 AUTOMOTIVE

BMW’s i8 Concept car features two large 3D displays for driver data and infotainment. Owners would be able to use smartphones to find their car or charging stations and supply data on the i8’s status.

In-car communications are about to get a whole lot smarter Connected driving

In-car innovation is evolving almost as fast as fuel prices are rising. Some pretty amazing technology isn’t as far away as you might think, and it’s not just destined for the higher classes of motorcar, reports Georgina Elrington.

Drivers are increasingly demanding connectivity on development programmes, the first MDM6X00 the move. They want to replicate the services that equipped cars will start production next year. they have on their mobile devices. Not only that, they want to enhance the experience by taking In a latest push to make voice-control the primary, advantage of advanced, in-car user interfaces such and safest, way for customers to access their as larger format displays and more capable audio mobile devices on the move, Ford in the USA systems. recently dropped the price of SYNC©, its hands- free, voice-controlled, in-car connectivity system. The author is Paul Hedkte, senior director of business for Ford plans to roll out the new pricing across its independent Qualcomm, a supplier of chipsets to automakers, North American Ford vehicle line up, such as the telecoms writer, Georgina says that: “Over the next 12 months, an increasing 2012 Ford Explorer and Edge. Following those will Elrington. number of automakers will be rolling out be the 2012 Ford Taurus, Focus, Escape and Flex. embedded wireless communications in their vehicles.” The company is currently working on the The European market is also recognising growing testing and integration of its MDM6X00 chipset consumer awareness and demand for more which is designed to work anywhere and on any connectivity. Governments are contemplating network. Already in multiple automaker mandating an automatic crash notification system,

M2M Now July - September 2011 13 AUTOMOTIVE

eCall, for new cars (already mandatory in Brazil). for always–on connectivity. The eCall Memorandum of Understanding (MoU) has now been signed by 22 European countries. “In the next 12 months we expect to see more car manufacturers including updated OTA software in “If mandatory pan-European eCall is passed, we their vehicles. It won’t focus as much on will witness all new vehicles being equipped with a components that are directly connected to the GSM module and GPS or Galileo chipsets,” says vehicle, such as the engine or transmission, but Macario Namie, vice president of Marketing at more on areas such as the infotainment systems or Paul Hedkte, Jasper Wireless. It could also encourage wider telematic boxes,” Berholtz added. Qualcomm: Its MDM6X00 adoption of eCall services and lower development chipset is costs. Future features from BMW TeleServices will designed to work include diagnosis for remote troubleshooting. In anywhere, on Namie goes on to say that the automotive the case of disruptions to electronic functions, for any network. telematics market has witnessed a shift, from after- example, the BMW Teleservice Diagnosis offers the market vendors towards OEM solutions, as customer direct remote assistance as well as data- consumers look for value-added services ahead of assisted advice by phone. Incorrect memory entries more extravagant aesthetic features. While in the control equipment can be deleted and the navigation remains one of the most popular device reset over the air. applications for telematics, Namie’s belief is that the two main areas for the rise of M2M in the More driver control can also be realised – even if automotive market will be maintenance and the driver isn’t in the car. New OEM applications infotainment. rely on the connectivity of smartphones or the car’s embedded modem. One example is the iOS app Macario Namie, Maintenance and self-diagnosis Jasper Wireless: from Nissan, which enables the mobile device to “Two main areas Remote vehicle diagnostic data collection is become an extension of its new electric vehicle, for the rise of becoming increasingly common. The ability to send LEAF™. The app allows drivers to alter preferences automotive information, about the status of critical parts, such as the car’s temperature or to set it to charge M2M will be maintenance and enables manufacturers to alert drivers when they at off-peak times. infotainment.” need to see a dealer for warranty repairs or a service, before the inconvenience of a breakdown. Infotainment Demand for real-time traffic information, updated It also offers alternatives for updating the vehicle’s navigation maps and internet radio are growing, as software faster, more safely and economically. For well as being able to surf the web on personal the car owner, having upgrades initiated without devices while in the car. Qualcomm’s Hedkte having to leave the driveway or even being present, forecasts that we’ll be seeing an increase in the brings a vastly improved customer service number of automakers offering vehicles that have experience. It also minimises trips to the garage or the ability to support high speed data connections service centre. up to 14.4MBps, thereby enabling features, such as in-car Wi-Fi hotspots. Yoram Berholtz, Red Bend Software, a mobile software Red Bend Software: “In the management (MSM) company, is working within Onboard connectivity could also increase impulse- next 12 months the automotive market to update software and buying opportunities for, among others, content more car makers firmware over the air (FOTA). Yoram Berholtz, providers. While you might not want to subscribe will include director of Market Adoption at Red Bend Software, €25 a month to download movies, you may be updated OTA software in their says: “There are a number of challenges for car prepared to spend that amount to keep young vehicles.” manufacturers. The amount and complexity of passengers entertained on long trips. Businesses software inside cars is increasing with the demand will also be looking to partner with OEMs and

14 M2M Now July - September 2011 operators to advantage localised m-Commerce Parking and payment opportunities as location-based services become Wouldn’t it be neat to drive into a parking lot and more accessible. have the payment made automatically without even getting out of the car? This transaction will With the roll-out of 4G networks, such as WiMax, become possible through a sat nav device or in-car LTE (Long Term Evolution) and HSPA+ (Evolved dashboard system over the next year, according to High-Speed Packet Access) the automotive industry Eugene Tsyrklevich, CEO of Parkopedia. will begin developing and testing new technology Parkopedia.com is an online encyclopaedia that in their connectivity systems – although capability allows drivers to find the closest parking to their Eugene Tsyrklevich, probably won’t be seen in production vehicles destination, tells them how much it will cost and Parkopedia: until at least 2014. whether a space is available. The company’s current Automatic R&D project is building real-time parking pressure parking payment Health and safety maps around the world, which will be used for will arrive in the next year. Nowadays, our cars are equipped with a multitude intelligent traffic routing and urban planning. of safety features such as air bags and crumple zones. But this technology is also evolving. Mind reading Manufacturers are working on crash avoidance When researching this article I came across a systems that measure and control the distance of hopeful prediction that cars of the future will be obstacles in front. Should you get too close, a able to read your mind. In the real world, Ford warning system will alert you and if you don’t take developers are already leveraging Google’s “Ford in the USA timely action the car will automatically initiate the Prediction API for ongoing research into predicting recently dropped the brakes and/or tighten your seatbelt in case of driver behaviour. This will help to optimise the © impact. While this kind of automatic braking vehicle’s control systems and improve its price of SYNC , technology is already available in the more elite end performance. Knowing that driver behaviour and its hands-free, of the car market, for example in Volvo and patterns correlate to overall fuel and energy voice-controlled, Mercedes-Benz cars, more affordable cars are efficiency, Ford researchers are committed to soon set to benefit. increasing their understanding of driver behaviour in-car connectivity and developing accurate protocols to predict it. This system.” Research is also in progress to help drivers manage is probably as near as we’ll get to cars reading our their health while in the car, via voice activating minds – for the foreseeable future anyway. ‘wellness’ apps. Ford is working with companies to SYNC-enable its smartphone Allergy So, as the in-car technology innovation curve Alert app to give users access to location-based, continues to rise, it’s safe to presume that you’ll day-by-day index levels for pollen, as well as find an array of apps and communications options asthma, cold and cough, and ultraviolet sensitivity. with which to pimp your next ride. If you have serious money to burn, you may be interested to WellDoc has joined forces with Ford to integrate know that one of the last futuristic automobile M2M Jargon Buster in-car accessibility to cloud-based personalisations predictions is also turning into a reality: The flying car. for asthma and diabetes sufferers through SYNC©. API: Application Using voice commands, users could receive real- The first delivery of Terrafugia’s Transition® is Programme Interface time support based on their historic and current scheduled for late 2012. Around 100 aircraft (surely LBS: Location-Based health status. Researchers have also developed a they mean ‘aircar’?) have been reserved. But with Service prototype that allows SYNC© to connect to a an anticipated price tag of US$279,000 it’ll be glucose monitoring device and provide secondary some time before we’ll hear everyday onboard OEM: Original Equipment Manufacturer alerts if levels get too low. Other long-term health navigation systems quoting Dr Emmett Brown: technologies related to heart rate, relaxation and “Roads? Where we're going, we don't need R&D: Research and stress reduction are also being explored. roads.” Development

M2M Now July - September 2011 15 SMART ENERGY

EXPERT OPINION

Do energy displays work? Insights into customer response and behaviour...

In 2006 Simon Anderson and I launched GEO, the business vision was simple – to ‘make energy visible’ to consumers. Our first developed system was very sophisticated – too sophisticated as it turned out, writes Patrick Caiger-Smith, and while people loved the idea, the reality was it gave too much information too quickly and was deemed confusing. So we scaled back the ambitions for early products, recognising that we had to introduce households to this new type of system gently or we’d lose engagement.

Five years on we have a range of more than 10 that they meet customer requirements and do not displays with different levels of sophistication, over-complicate the process of monitoring energy. including web and mobile applications that follow To go back to the telco analogy, 10 years ago the same basic principle. Having sold over consumers did not expect to use mobile phones for 1.2million displays it is easy to argue that In-Home much other than phone calls – now we have email, Displays (IHDs) are obviously needed, but in this internet browsing and instant messaging on our article I would like to take the opportunity to share mobiles. There will always be early adopters who GEO’s experience, some market research results and are looking for advancement but let’s face it, most The author is important principles for this fast expanding market. consumers find technology fairly daunting. For that Patrick Caiger- reason an entry level display, such as the push Smith, CEO of Competition and price sensitivity display encourages consumers, who are then likely Green Energy There are many comparisons to be drawn between to move on to a pull display and finally something Options. the telco market and what is happening in the truly smart once they are familiar with the basic utility sector right now; this year we have seen technology. OFGEM (Britain’s electricity and gas market regulator) try to increase competition in the energy The aim is not to categorise customers by a specific market, and in the UK the big six energy providers type of display, rather, that by having a range that are being challenged as the Co-operative enters the represents different consumer attitudes, the market. On top of this, energy price rises have led consumer can choose which level they are to increasing price sensitivity and customer comfortable with, decide what value they want to switching. place on such a device and ultimately have several displays that complement each other and engage In many ways the IHD can be considered as the the user in different ways. ‘handset’ of the utility sector and that is why there need to be different options available to the This range also allows for development of consumer. GEO has created displays that fit into supporting infrastructure (the roll-out of smart three categories: meters is discussed below). Just as different types of display support different consumers, they also • Push displays – are always on, pushing meet different stakeholders’ requirements and information to the consumer; like a clock on market drivers. Energy monitoring is high on the the wall. agenda for many parties; GEO considers three • Pull displays – provide richer information and perspectives to be key. are interactive, requiring the user to ask for information. The current market • One-touch controllers – combining ‘push’ Everyone is experiencing the impact of increasing information with remote access, monitoring and energy prices and looking for ways to help budget control of individual appliances. and monitor homes and appliances. To compound this need for information, competition between Segmenting displays into these categories ensures utilities who want to retain price-sensitive

16 M2M Now July - September 2011 The Current Market consumers means that value-added packages Research results (similar to those seen in the telco market) are Reassuringly, after a year of using becoming more common. IHDs are being used (and the displays only 12% of achieving!) customer loyalty and interest. trialists felt that they no longer needed them, 66% of Smart metering consumers were happy with Government Smart IHDs are proving to be key to smart meter roll-outs; displays, while the remaining agendas metering a lack of customer engagement has proved to be a trialists looked to add major risk to smart meter programmes (in the US, functionality to their display. for example legislation has been passed that gives Notably, consumers who were consumers the right to choose). Pre-smart, push given one of the more basic displays help to allay fears but more importantly displays were quicker to engage deliver the consumer-side benefits of the technology with the product but soon wanted to add so that early on consumers can see the benefits. functionality.

Utilities can also use smart meters and displays to Encouragingly, our research proved that consumers manage demand (the smart meter provides them who are aware of their energy use are likely to with information on energy use), while the display change their behaviour. After 12 months with an can deliver real-time information to the consumer IHD 90% of trialists had considered or made aiding capacity management and encouraging changes to their behaviour; 30% bought low behavioural change. energy appliances, 25% had considered insulation and 35% were considering installing solar panels. Government agendas Governments are looking for initiatives that In Germany initial research showed that 67% of encourage behavioural change to reduce carbon respondents would prefer to see consumption on a emissions and IHDs are an effective tool in these simple IHD (interestingly, only 5% chose to see programmes. Displays can also act as the catalyst to information on a smartphone). Another 67% bring people into the market for other energy thought that smart meters should come with an efficiency products; we recognise that smart meter IHD and that they would be more likely to request a roll-outs are a major contributor, but IHDs can have smart meter if that was the case. As with most an immediate effect and we are all aware that market research, the numbers need careful reductions are needed now! As mentioned interpretation, as asking people what they might previously, consumer engagement is a major factor want when the technology isn’t understood can in successful smart meter roll-outs and lead to false conclusions. The old adage of market consequently, the smart grid. research before the advent of the motor vehicle comes to mind – that there was no market for a It is clear that what links all of the above are the motor car, but faster horses were in great demand! consumers themselves. They are the key to delivering the carbon agenda and we believe that An early report from a smart metering trial in Smart IHDs play a major role in their continued City Évora (Portugal) included the following engagement. feedback: “We were surprised that the older people on the trial in particular really like using the “After 12 months Since 2006 GEO has spent over UK£1 million Solo because it is easy to see and understand. They (€1.1 million) on market research, organising focus are happy using the GEO equipment because they with an IHD 30% of groups, online surveys and various trials across have had a lower bill since they installed it and trialists bought low Europe (and as far away as Australia). Most notably believe it is because of the Solo.” we ran the first Visible Energy Trial in the UK, with energy appliances, 275 homes using one of three displays which varied In short, IHDs clearly work; they should be simple in complexity. and engaging and relevant to the consumer, as 25% had considered with all technology, consumer appetite evolves insulation and 35% Trials used a basic electricity monitor (the ‘Solo’), quickly and suppliers should be prepared for this! the ‘Duet’, which monitored electricity, heating and IHDs have consistently proved to be a great were considering individual appliances and the ’Trio’, a dual fuel engagement tool for utilities and governments installing solar online system which allowed consumers to view and who want to support consumers and their need to control remotely what was happening in their home. manage energy by making it visible. panels.”

M2M Now July - September 2011 17 COMPETITIVE ANALYSIS OF GLOBAL M2M OPERATORS:

Who is best positioned?

The M2M market is finally taking off as a growth market; the entire eco-system from module manufacturers and device OEMs, to application software providers, to service delivery and application platform providers, to systems integrators and operators, is excited by an anticipated revenue upsurge in this market. Here, Kathryn Weldon of Current Analysis assesses which service providers are best positioned to succeed in M2M.

Forecasts for the numbers of connections vary widely, Increasing revenues ranging from 1 billion to 50 billion by 2020. In Service providers are carving out a market share for addition, M2M encompasses a number of different M2M services, which represent a growing opportunity network technologies. While there are theoretically to increase data services revenue while taking 7 trillion machines on the planet ripe for connectivity, advantage of the current generation of M2M today there are only approximately 100 million applications’ lower bandwidth requirements. worldwide cellular M2M connections. Operators are looking to these service revenues as a source of high volume (if relatively low ARPU), low Even though 30-35% CAGRs* for the numbers of churn services to provide growth at a time when voice This article is connections over the next five years are predicted, revenues are relatively flat and other data services are based on recent revenues and margins are less predictable; these eating more heavily into scarce bandwidth and research titled, depend on user bandwidth requirements, requisite spectrum resources. “M2M Service Provider services and component pricing scenarios, and the Analysis: Who requirement for revenue share among all of the In the near future, M2M requirements will go beyond is Best vendors within the complex delivery eco-system. Even in-country or regional low speed/occasional usage Positioned?” with these wide-ranging predictions and questions scenarios to higher bandwidth, global solutions that written by about profit margins, it is clear that this market is need real-time, always-connected mobile network Kathryn Weldon poised for significant growth over the next several access for applications such as video conferencing and (above), Principal years. real-time diagnostics for telemedicine, smart grid load Analyst for and capacity management applications, and in-car Enterprise No segment of M2M providers is more excited about internet and entertainment services (see automotive Mobility at the market potential than the operators. Most large feature in this issue, Ed.). Revenues and differentiation Current Analysis, global operators have invested in dedicated business will also come from value-added services beyond published in units, development of (or licenses for) service delivery connectivity such as end-to-end solutions integration June, 2011. platforms to streamline provisioning and management, within key verticals, and managed services. and extensive marketing, partnership development and ‘innovation centres’ to incubate custom solutions While the operators across diverse business verticals. Current Analysis profiled have many things recently completed profiles of leading global wireless in common in their operators’ M2M Services and Strategies (see graphic approach to M2M, there is on page 19). already evidence that there

This article summarises Current Analysis’ recently updated profiles on the M2M services and strategies of these global wireless operators, detailing our rationale for the ranking of their respective solutions.

18 M2M Now July - September 2011 is room for differentiation based on their footprint, “Revenues will services, and M2M organisation as well as their vision and strategy for the future. In the full report (go to also come from www.currentanalysis.com) we detail the solution value-added components used to rank the different service providers. services … such as How we ranked providers end-to-end solutions integration Very Threatening This year we ranked AT&T and Vodafone as ‘Very within key verticals, Threatening’ and therefore as the leaders in M2M in and managed their respective geographical domains. AT&T leads in the US and Vodafone leads in Europe, but both services.” providers are supporting more global opportunities, and these two operators were also leaders in our last update. Both have continued to add capabilities, as well as new customers and connections.

AT&T continues to add value to its M2M solutions. Its Advanced Mobility Solutions group had added a professional services overlay to its offerings allowing M2M services. and Verizon Wireless were also the carrier to provide more custom solutions as well as named as ‘Threatening’ last year, but Telefonica has solution design and integration services. AT&T reports stepped up its efforts in M2M and we have upgraded that it has 12 million SIMs in service (in Q1 2011) with their ranking from ‘Competitive’. 1.3 million added in the last quarter. New customers include Nissan and Progressive Insurance. AT&T has In Q1 noted that it had 2.3 made a number of recent alliance announcements million SIMs in service. Orange has a large footprint in with application platform providers (including Axeda Europe, with local in-country rates via a global SIM and Sierra Wireless) which adds to its arsenal of within its footprint in 32 countries, plus roaming to a solutions. AT&T is planning to offer a global SIM that total of 220 countries. Its alliance with Deutsche can provide extended international roaming with the Telekom may also strengthen both operators’ Jasper Wireless platform later this year. Global positions in European M2M services. Orange is unique customers can get a cost-effective solution from the in offering end to end integration in a few key carrier, especially for low bandwidth applications and verticals, especially fleet management. The operator when cost efficiencies from the automation of their also continues to enhance its service platform with business processes via the Jasper management plans to roll it out this year to more countries and add platform are taken into account. more thresh-holding and alarm features. In Q1 it created a joint venture with Veolia Water (a global Vodafone has enjoyed particular success in the company headquartered in France) to form m2o city, automotive and utility sectors. Its position as the a turnkey service collecting data from water meters largest wireless network operator has made it a likely (and environmental sensors to combat noise or go-to-provider of M2M services for global enterprises, pollution), to optimise water service performance and and its global SIM works on any GSM network, safeguard resources. offering in-country pricing in 74 countries. Vodafone and nPhase are working together for integration of Telefónica has approximately 4.5 million SIMs in their respective service platforms, and Vodafone is service and has been active in M2M across its working with application platform provider Axeda, to footprint. In 2010, it partnered with platform provider help customers develop and manage M2M Jasper Wireless to offer the Jasper Control Center, deployments across diverse verticals. Recent which offers rapid time-to-market and flexible rate partnerships with Bosch and Intel also bode well for plan generation for consumer electronics companies. future innovative solutions. Telefónica stresses its flexibility and is willing to take on custom M2M services (and does so for about 20% Vodafone brings in partners within the modules, of its customer base). devices and application eco-system, and may re-sell selected hardware or software at the customer’s It also views itself as a ‘one stop shop’ for M2M and request. In future it plans to build more of a vertically often takes on a systems integrator role for multiple focused solutions overlay. Vodafone also works with a aspects of the solution including module and device variety of SIs for M2M deployments, including IBM, integration as well as installation, maintenance and Logica, HP and Accenture. Current Analysis testing. Telefónica is taking part in a ‘smart city’ estimates that Vodafone reached 5.3 million M2M project running in Santander (in northern Spain), connections in Q1 2011; Hyundai is a recently allowing the city to participate in what will be a announced customer for automotive telematics. European network of intelligent cities, the world’s largest lab to test the ‘Internet of Things’. Threatening In this update we noted Orange Business Services, Verizon Wireless has a new go-to-market strategy for Telefónica and Verizon Wireless as ‘Threatening’ in M2M, as well as a new organisation, aligning M2M

M2M Now July - September 2011 19 COMPETITIVE ANALYSIS OF GLOBAL M2M OPERATORS:

“(Deutsche under its Business Solutions Group, and will offer a the connections are in or out of its footprint. This variety of in-depth vertical solutions and value-added provides customers with confidence that they can get Telekom) has done services as well as advisory / education, operational a good price without having to deal with the well in the support and integration this year. Verizon has a ‘one uncertainty of roaming charges. KPN is strong on its size does not fit all’ philosophy and is following home turf in the Netherlands, Germany and Belgium. automotive and through with new pricing options and a range of A recent win (for which it partnered with Sierra flexible models, working with third parties to offer Wireless to leverage the vendor’s AirVantage transportation solutions. It also will be empowering small VSPs application development platform) was for Schneider segments.” and device manufacturers with financial and Electric’s electric car charging stations solution. In marketing support. January KPN set up vertical groups to go after key markets: consumer electronics, telematics, eHealth, The addition of European parent Vodafone as a point of sale, security, smart metering, and remote partner is already providing opportunities for global equipment monitoring. M2M services, and the ability to offset expensive roaming charges for 3G / 4G will become an Sprint describes its benefits/differentiators in M2M as: important differentiator, especially as both operators its ‘open’ approach, which includes its collaboration build out their LTE networks. Although no longer with many partners, its provision to these partners of disclosing total numbers of connections, Verizon has core network enablers such as location-based services, reported that in Q1 it added 897,000 new lines for and its ‘openness’ to multiple business models and wholesale wireless services including M2M. channel strategies ranging from retail to wholesale to teaming arrangements. It also touts that it is the most Competitive flexible and easy carrier to do business with in M2M, We have rated the M2M services of Deutsche which it notes has actually been a primary reason for Telekom, KPN, Telenor Connexion and Sprint as some of its enterprise wins. ‘Competitive’ as these providers have strong regional offerings as well as some unique capabilities. All four Sprint has announced a large number of M2M operators are offering innovative solutions in their application providers across diverse verticals. At CTIA home territories and gaining a share of international in March, Sprint announced 14 new M2M business through partnerships and their strengths in partnerships in transportation, healthcare, digital key verticals. signage, and energy management. It opened a dedicated M2M Collaboration Center in Burlingame, provides connectivity in 15 California in 2010, where the carrier and its partners countries, with most of its M2M reference customers (37 of which are now testing and demonstrating based in Germany. Its T-Systems subsidiary is present solutions) can come together to develop, test, and in 50 countries and is a strong partner for custom launch solutions. It also announced its Command M2M engagements that may require an end-to-end Center service platform was commercially available in solution, especially those that have both fixed and June 2011. mobile requirements. The operator has done well in the automotive and transportation segments, with Telenor Connexion has been offering M2M solutions named customer wins at BMW, Cargobull since the late 1990s and is a strong regional player for Telematics, MAN-Telematics, Toll Collect, and businesses based in Norway, Sweden and Denmark car2go. DT’s alliance with Orange Business Services but also central / eastern Europe and Asia, and Russia, will also provide an entrée into more pan-European where it has interests. Telenor Connexion has been deals. DT has its own service platform and announced particularly successful within the automotive industry a new customer portal last December. (and sub-industries such as fleet management) but has named customers in a number of other verticals such Meanwhile, T-Mobile USA’s M2M services (about 25 as asset and cargo management (Stepac) and security employees) have now been transferred to RACO (Securitas Direct). The operator’s recent growth in Wireless who will lead with sales, operations and Malaysia, Japan and the US (including new sales / M2M Jargon Buster support of the business headed up by John Horn who support offices) will help it in emerging markets where it was the Director of M2M at T-Mobile USA for 10 already has some presence and / or where its existing ARPU: Average Revenue years. At least until it is known whether the AT&T customers (such as Octo Telematics) have operations. Per User acquisition of T-Mobile USA will go through, T-Mobile In addition, Malaysia (and Asia in general) offers CAGR: Compound USA’s network services for M2M will be sold strong expansion opportunities for key verticals, such Annual Growth Rate through various M2M service providers. as utilities that are planning smart metering solutions.

M2M: Machine-to- KPN was Jasper Wireless’ first operator partner for its The global operators see M2M as an exciting machine service platform and continues to see the platform as opportunity and are boosting their internal M2M OEM: Original a strong differentiator. Other key value propositions organisations with expertise in diverse verticals, Equipment Manufacturer include its single SIM card, European and global partnerships with service delivery and application SI: System Integrator coverage (in 200 countries through partners), its low- platform developers, and wide-ranging application cost connectivity over its own and partners’ networks, partnerships using flexible go-to-market approaches. SIM: Subscriber Identity and its cellular connectivity options including GPRS, M2M’s anticipated growth should give opportunities Module EDGE, UMTS, SMS and emergency voice. It is for all of these providers, although there will always be VSP: Virtual Service providing many customers a single price for all a need for differentiation as customers look for long- Provider connectivity throughout Europe, regardless of whether term partners for high volume, global deployments.

SPONSORED FEATURE 20 M2M Now July - September 2011 DIARY Event Diary

Don’t forget to add the following events to your organiser. As M2M Now is Official Media Partner for most of these events, we look forward to seeing you there. LTE ASIA ORBCOMM Global Solutions 6-7 September, 2011 Suntec, Singapore Conference 2011 www.lteconference.com 12-14 October, 2011 Park Hyatt Aviara Resort, Carlsbad, California, USA SMARTricity Congress 2011 www.orbcomm.com 6-9 September, 2011 Tianjin, China www.opplandcorp.com/smartricity-2011 4G World 24-27 October, 2011 IBC McCormick Place, Chicago, Illinois, USA Chicago, USA RAI Convention Centre, Amsterdam, The Netherlands www.4gworld.com 8-13 September, 2011 www.ibc.org Smart Power Europe 7-10 November, 2011 Telematics China Summit 2011 Hilton, Copenhagen Airport, Denmark 8-9 September, 2011 www.smartpowereurope.com Ramada Plaza Pudong, Shanghai, China www.telematicschinasummit.com LTE North America 8-9 November, 2011 M2M Evolution Conference Fairmont Dallas Hotel, Dallas, Texas, USA 13 -15 September, 2011 www.lteconference.com Austin Convention Center, Austin, Texas, USA http://m2m.tmcnet.com//conference/west-11/ World Telecom Summit GridWeek 9-11 November, 2011 Singapore Singapore 12-15 September, 2011 Washington DC, USA http://worldtelecomsummit.com www.gridweek.com/2011/ Telematics Munich 2011 Mobile Healthcare 9-10 November, 2011 Industry Summit 2011 Hilton Munich Park Hotel, Germany www.telematicsupdate.com/munich 20-21 September, 2011 Radisson Blu Royal Hotel, Brussels, Belgium www.MobileHealthcareIndustrySummit.com Smart Electricity World MENA M2M Embedded Mobile Asia 21-23 November, 2011 26-30 September, 2011 The Address, Dubai Marina, UAE Dubai Marina InterContinental Grand Stanford, www.terrapinn.com/2011/smart-electricity Hong Kong, China -world-mena www.m2m-embeddedmobile.com Smart Healthcare World Asia 2011 Broadband World Forum 28-30 November, 2011 27-29 September, 2011 Raffles City Convention Centre, Singapore CNIT, La Defense, Paris, France www.terrapinn.com/smarthealthcare www.broadbandworldforum.com mHealth Summit Smart Homes 2011 5-7 December, 2011 4-6 October, 2011 Gaylord Center, Washington DC, USA RAI Convention Centre, Amsterdam, The Netherlands http://mhealthsummit.org www.smarthomes2011.com Energy Revenue and Hyde Park, London Metering Billing/CRM Europe 2011 Custom Management World 4-6 October, 2011 7-8 December, 2011 RAI Convention Centre, Amsterdam, The Netherlands The Royal Garden Hotel, London, UK www.metering-europe.com www.terrapinn.com/energyrevenue ETSI’s Business Innovation Summit Grid-Interop 2011 4-6 October, 2011 5-8 December, 2011 Double Tree by Hilton London West End, UK Phoenix, Arizona, USA www.etsi-wirelesssummit.com www.grid-interop.com/2011/ M2M Zone Conference & Pavilion M2M World Europe 2011 CTIA Enterprise & Applications 12-14 December, 2011 11-13 October, 2011 London, UK San Diego, California, USA Phoenix, Arizona www.terrapinn.com/m2m www.ctiaenterpriseandapps.com

M2M Now July - September 2011 21 SATELLITE COMMUNICATIONS

EXPERT OPINION

Global satellite data communications take M2M applications to a new level of growth across many industries As the global market for machine-to-machine (M2M) applications continues to expand, satellite technology has become an important communications medium for enabling remote and mobile tracking and monitoring applications.

According to Harbour Research, satellite represents a communication services track, monitor and control small but high growth portion of the M2M mobile and fixed assets in four core markets: connectivity segment with over 4 million deployed commercial transportation; heavy equipment; devices and a Compound Annual Growth Rate (CAGR) industrial fixed assets; and marine / homeland security. of 29% globally through 2013. ORBCOMM’s Low-Earth Orbit (LEO) satellite network and unique web management tools enable delivery of Analysys Mason expects the number of M2M device small quantities of information to and from virtually connections worldwide to grow from 62 million in any place in the world on a near real-time basis – 2010 to 2.1 billion in 2020, with year-on-year growth simply and affordably. The ORBCOMM network rates of between 36% and 52%. The market potential processes more than 30 million messages a month. for mobile M2M applications is exponential and poised for rapid acceleration in a number of industries such as Examples of the leading-edge M2M industry smart energy monitoring, transportation, government applications powered by the ORBCOMM network logistics and security as new and more powerful include: mobile devices, applications, services, and providers have emerged. Oil and Gas • Monitoring cathodic protection systems that measure Satellite technology continues to be one of the key corrosion, flow rate and temperature on remote drivers in the M2M revolution. More and more pipeline infrastructures to ensure pipeline health businesses are realising the benefits of satellite M2M as it has become an economical and powerful Transportation communications medium well-suited for asset • Tracking and monitoring trailers owned by the management applications across many different world’s largest consumer goods retailer that sectors. Satellite M2M is gaining in popularity as transport products from sea ports to distribution businesses are beginning to realise the impact of its centres to retail stores, using near real-time location unique capabilities in reducing overhead, enhancing data and cargo status, thereby optimising delivery customer service, gaining competitive edge, and and driver efficiency improving overall asset performance and utilisation. Heavy Equipment A broader M2M market • Monitoring remote mining equipment for fuel Today’s low-cost, versatile hardware solutions are more consumption, engine hours and preventive accessible and easy to integrate. Plus, network maintenance status, enabling action before a costly operators are offering flexible and competitive data breakdown occurs, thus reducing emergency field pricing plans that can easily be matched with small or repairs and equipment downtime large scale deployments, enabling satellite technology to serve the broader M2M market well. Utilities • Transmitting smart grid and metering data from One leader in this emerging market, offering consumers, helping utility companies better The author is Brian Bell, ubiquitous coverage and low-cost, reliable M2M manage power resources and make more Executive Vice President of products and services for a wide range of vertical informed decisions about load balancing, power Sales and Marketing for markets, is ORBCOMM, Inc. Headquartered in Fort transmission, grid integration, and renewable ORBCOMM Inc. Lee, New Jersey, ORBCOMM’s two-way data energy

22 M2M Now July - September 2011 Maritime “During Hurricane • Enabling fisheries to ensure management of Katrina in 2005, stocks through vessel management systems that estimate the amount of a given fish in an area land-based cellular and the amount taken by fishing vessels to project overfishing before it happens. networks were compromised on a For companies looking for greater reliability, near real- time messaging and global data coverage, ORBCOMM wide scale, but offers low-cost, flexible and competitive data plans with both usage-based and flat-rate pricing options. ORBCOMM’s Application providers can deploy a service with a satellite services predictable, fixed cost, or in many cases with an efficient pay-as-you-go approach. With services continued to measured to the nearest byte, customers only pay for the service they use, and the return on investment is operate normally.” significant. In addition, with a global network, there are no roaming fees to consider, unlike cellular communications where the jump from low to high cost can be as simple as a mobile asset roaming close to a national border and moving onto a neighbouring country’s GPRS network.

As hardware costs have continued to decline, many organisations, including ORBCOMM, have chosen to combine the best of cellular and satellite data service by deploying dual-mode applications that use a single, multi-network and highly configurable device with low power requirements. ORBCOMM’s dual-mode • Two-way data communications anywhere on Earth communications offer a flexible, cost-effective solution • A convenient, cost-effective combination of to provide global, wide-scale coverage and economy satellite and cellular data service for the ultimate in and out of cellular network range. In addition, with in cost optimisation increasing concerns about the reliability of cellular • A web service management suite for customers networks during natural disasters, satellite to manage their communications, devices and communication is also filling a niche as a back-up to even their data, for optimal oversight cellular-based networks for emergency preparedness • A satellite network dedicated to M2M when other systems are not available. For example, communications during Hurricane Katrina in 2005, land-based cellular • A commitment to investing in the latest networks were compromised on a wide scale, but technology to take its satellite service to the next ORBCOMM’s satellite services continued to operate level and provide increased throughput, faster normally with no service interruptions. data transmission speed and enhanced functionality. Service management suite ORBCOMM also offers a unique service management Businesses worldwide are now seeing satellite M2M as suite to provide customers with comprehensive self- an ideal solution for their asset management care and management of ORBCOMM’s M2M services. applications from both a cost and coverage The company’s robust portfolio of device management perspective, which is exponentially increasing the tools is designed to help customers create, build and demand for and growth of ORBCOMM’s satellite manage new services for their devices and / or products and services. accounts, reduce operating costs and overheads and improve overall customer support. ORBCOMM’s web- With the largest number of satellite-based M2M enabled services provide a complete view of every deployments and service in more than 100 countries device in a customer’s account on demand, which is and territories worldwide, ORBCOMM is driving the just one more way ORBCOMM is transforming the M2M revolution with ubiquitous coverage, proven way its customers do business. and reliable performance and predictable, low- cost pricing. As a result, ORBCOMM is Leveraging its M2M customer focus, ORBCOMM keeping the world’s most valuable provides effective, custom ised solutions that meet the assets – no matter where they remote and mobile asset management needs of many are – always connected and different industries. Only ORBCOMM offers: within easy reach.

M2M Now July - September 2011 23 CTIA PREVIEW

San Diego Convention Center, California, USA October 10, 2011 – Pre-Conference Seminars October 11-13, 2011 – Conference & Expo

CTIA Enterprise & ApplicationsTM to focus on M2M communications Advances in wireless technologies are driving the rapid evolution of remote and mobile communications, and at the forefront of this evolution is the recent surge in interest in machine-to-machine (M2M) communications. As Jeremy Cowan writes, more than 15,000 wireless and IT professionals will be showing their skills in sunny California next month, and M2M will be a major factor in discussions as enterprises in healthcare, energy, media, retail, and transportation find innovative ways to capitalise on this opportunity.

Fig 1. The M2M Zone includes an This CTIA event is not just about finding efficiencies dynamic solutions, and ensures that the latest Exhibitors’ Pavilion: from applying new technologies, it’s an opportunity standards and trends in embedded connectivity are for companies to drive new revenues, create global being utilised to the customer’s benefit. The company Company Name Booth partnerships, satisfy and retain customers and increase has a track record with major global brands such as Number the productivity of their workforces. The event will also Volvo, Nissan, Daimler, TomTom, Omron, Scania, 7 Layers 446 focus on applications, content, network architecture Qualcomm Enterprise Services, Hitachi and AT&T 352 and technologies. Securitas. CETECOM, Inc 549 Telenor Connexion is wholly owned by Telenor Group, Cinterion Wireless Modules 341 Who are CTIA? ® a mobile operator with network operations in 11 Deutsche Telekom AG 552 CTIA-The Wireless Association is an international, non-profit membership organisation that has markets in the Nordic region, Central and Eastern Embedded Works Corporation 253 represented the wireless communications industry Europe and in Asia, as well as an economic stake of FreightWatch Security Net 650 since 1984. The annual CTIA Enterprise & Applications 39.6% in VimpelCom, itself operating in 10 markets. Intel 346 event brings together new and established wireless- With 195 million subscribers, Telenor Group is bigger KORE Telematics 535 related companies, network operators, system than AT&T and Verizon combined. Laird Technologies 648 developers, equipment manufacturers and end users to share ideas and do business. Following the company’s recent expansion in the US M2M Antennas 448 market, Telenor Connexion (Booth 554) will announce M2M Zone 652 M2M at the event new customer agreements and share its insights on Multi-Tech Systems, Inc 541 M2M communications. The M2M Zone™ organises events around the globe & Meeting Room 825 where network operators, application designers, NetComm Ltd 349 The operator works with its customers on coverage hardware manufacturers and end users come together planning for cost optimisation and flexibility, based on nPhase 247 to showcase wireless machine-to-machine their technology infrastructure and business & Meeting Room 632 communications products and services. The M2M opportunities. Through its 24/7/365 global service Numerex 335 Zone at the event includes an on-site conference and desk, solution managers and sales force, Telenor ORBCOMM Inc. 555 an exhibitors’ pavilion (see Fig 1.). Connexion probes the roaming partners and notifies RACO Wireless LLC 441 customers about possible network problems in M2M Now contacted exhibitors in machine-to- advance, maintaining a high level of customer service. SensorLogic 551 machine communications for a sneak preview of the Taoglas Ltd 546 event. Many are expecting M2M to be one of the key It’s service portal tools allow full control of the status, Telenor Connexion AB 554 service sectors at this year’s show. location and performance of connected devices. And Telit Wireless Solutions 435 as part of the M2M quality programme, Telenor u-blox America 447 Telenor Connexion Connexion holds methodology and wireless service Wyless Group 347 Telenor Connexion, a provider of M2M solutions for sessions with the customers to ensure sustainable and business and life-critical applications, will demonstrate reliable M2M solutions. its expertise in M2M communications across a variety of vertical markets, including automotive / telematics Multi-Tech Systems and insurance, healthcare and asset management. A demonstration of its Smart Keg is expected to M2M Jargon Buster highlight for Multi-Tech Systems the simplicity of LBS: Location-Based Building on more than 10 years of M2M experience, enabling any M2M application. The Mounds View, Services Telenor Connexion claims to deliver future-proof and Minnesota-based company is showcasing its

24 M2M Now July - September 2011 MultiConnect™ OCG (Open Communications KORE’s PRiSMPro management portal will also be on Gateway) at CTIA and demonstrating a custom Smart display featuring what the company describes as, Keg solution. “unprecedented management and control features, including LBS, for devices residing on the KORE This all-in-one hardware and OpenEmbedded network.” In addition, the booth will feature several Developer kit allows developers to add cellular M2M devices and applications currently powered by connectivity and prove their concept in a short period the KORE network and representing a myriad of of time. The Smart Keg solution integrates a vertical industries. temperature sensor to ensure optimal coldness, a vibration sensor to see if someone is pulling down the The Georgia, USA-headquartered company helps its tap, a USB camera to see who is pouring a drink, and M2M partners bring new devices and applications to GPS tracking capability. market more quickly, providing management optimisation capabilities that ensure revenue margins Visitors to CTIA can check out how easy it was to and better end-customer services. CTIA’s President & enable this portable keg application at the Multi-Tech Systems booth (#541) in the M2M Zone. You can also ORBCOMM CEO is Steve Largent identify how your new or existing applications can be Visitors are invited to stop by at Booth #555 and see Prior to joining CTIA, developed on the MultiConnect OCG. Developers can ORBCOMM in the M2M Zone. The satellite service Largent (above) order a Developer Kit, which comes with a free 90-day provider will be showcasing its global satellite and represented Oklahoma in data plan, at a special show price – and enter a draw cellular data communications services that are the US House of to win a MultiConnect OCG. purpose-built for M2M asset tracking, management Representatives from 1994 and control. (Read more about ORBCOMM on pages to 2001. He became Telit Wireless Solutions 22-23 in this issue. Ed.) President and CEO of Telit Wireless Solutions will be kicking off CTIA CTIA-The Wireless Enterprise & Applications 2011 with its inaugural For more information on the imminent ORBCOMM Association® in 2003, and developers’ conference on October 10. Held at the Global Solutions Conference, being held in Carlsbad, is also currently President Hard Rock Hotel San Diego, Telit DevCon 2011 will California from October 12-14, go to: of The Wireless bring together M2M application engineers, business www.cvent.com/d/ydqhb2 . Foundation. Steve Largent leaders and industry experts from up and down the has managed his own M2M value chain, offering educational sessions and Cinterion advertising and marketing consulting firm, served as insights for developing embedded cellular devices. At Booth #341 at San Diego Convention Center will give Mid-West Chapter Booth #435, Telit will showcase its newest module, the you the chance to see Cinterion module Executive Director of the DE910. This EV-DO CDMA 3G module will enable a demonstrations, view vertical market video case Wheelchair Foundation new generation of high bandwidth applications such studies, and learn about the company's modules. as consumer electronics, mobile health devices, and was a record-setting wide receiver with the telematics and mobile computing. Telit will also be Bellevue, Washington’s Cinterion Wireless Modules will Seattle Seahawks for 14 announcing new customer applications that leverage have partner and customer news to share at the show years, participating in cellular technology to enable animal tracking, as well as two new modules: these are the AH3 for seven Pro Bowls. He holds cleantech solutions and law enforcement devices. automotive applications, and PHS8 for advanced M2M a BS in Biology from the applications such as video streaming and other data- University of Tulsa. KORE Telematics rich applications. Claimed to be the world’s largest wireless network provider specialising exclusively in the rapidly SensorLogic Stats from the expanding global M2M communications market, SensorLogic (Booth #551) will be demonstrating its 2010 event KORE Telematics (Booth #535) will showcase the new Version 3.4 of the SensorLogic Service Delivery • IT/IS Professionals advancements in its global M2M network. This Platform (full report, page 6). Senior executives will increased by 59% provides wireless connectivity across the globe via both also be on hand to discuss SensorLogic’s latest • Programmers & Apps cellular and satellite technology. developments, customer wins and market traction. Developers increased by 40%

M2M Now July - September 2011 25 SERVICE PROVIDER CASE STUDY

M2M is connecting Russia to its global future

It shocks Westerners, but Siberia is synonymous with innovation. While it has long been associated with vast expanses of endless taiga, it’s these very distances that are driving efficiency throughout the region. In the city of Krasnoyarsk, a regional capital on the banks of the Yenisey River with a population of nearly one million, local businessmen and government agencies are realising the benefits of machine-to-machine (M2M) communication.

“The municipality’s fleet is not only more reliable (with M2M), but now costs a full 25% less to operate.”

26 M2M Now July - September 2011 Seeking to lower costs and improve safety, regional in remote areas, energy companies are authorities have put in place a programme to track increasingly using mobile communications to more than 2,600 vehicles including school buses, monitor their complex asset base. M2M-enabled ambulances and even boats. Equipped with voice devices are monitoring pipe pressure levels and and data services – including emergency beacons volume transfers, creating more efficient, safer that can be activated automatically – the energy transport and production systems. Smart municipality’s fleet is not only more reliable, but meters, which don’t require people to travel far now costs a full 25% less to operate as M2M to manually check readings, are cutting costs provides for identifying better routes, ensures that dramatically. The author is vehicles do not deviate from the route and helps Sergey Irevly, better monitor fuel consumption. 3. Anti-theft: The relatively low penetration of B2B Products fixed line networks is driving companies to adopt Director at Mobile Meanwhile, across town, Federal Siberian M2M-powered monitoring and alarm systems. TeleSystems (MTS). University is discovering that M2M can be as Indeed, sales of such systems now account for powerful a fighter of heart disease as medication. 10% of in-country sales. Finding that patients in far-flung rural areas were experiencing higher rates of cardiovascular Having seen the economic and logistical benefits of “Coca-Cola® has degeneration than people in other regions, they M2M systems, industries are embracing the conducted a survey and found an epidemic of technology and turning Russia into a laboratory of installed SIM- delayed diagnosis. sorts for its advancement. Water and electric enabled devices in utilities are using M2M-based communications It seems that the physical barriers to travelling for systems similar to those in the energy industry to more than a medical treatment are keeping people from timely monitor their networks. For example, JSC thousand vehicles checkups. Compounding the issue, financial Interregional Distribution Grid Company of the barriers keep high-end diagnostic equipment out of Center has equipped its power grids with a delivering products reach of local healthcare providers. thousand SIMs connected to encrypted APN across Russia.” channels. Using wireless technology rather than Into the breach stepped the Russian Ministry of fixed lines has enabled the company to cut Health with a SIM-equipped ECG device that sends monitoring costs four times. cardiac data to cardiac specialists in larger cities. Often hundreds or thousands of miles away from International companies are finding employee their patients, highly skilled specialists examine real- monitoring systems to be highly useful in ensuring time data and help arrest life-threatening illnesses the prompt delivery of products, in particular areas before they can strike. Working with its like logistics and warehousing. According to Dmitry partner, MTS, authorities plan Rebrov, Coca-Cola Hellenic Bottling IT Support to install the devices in 2,000 hospitals. Manager, “Coca-Cola® has installed SIM-enabled devices in more than a thousand vehicles delivering Rapid demand growth products across Russia – from Kaliningrad to Such chapters in the M2M story are being written Petropavlovsk-Kamchatsky. This allows us to by the day in Russia. Indeed, the number of SIM monitor location of the truck, and a number of subscribers is growing 45-55% annually and the parameters, including the speed of the vehicle – number of active SIM card installations is expected which provides for greater security.” to reach 2.5 million by 2015. The demand is coming from three sources: Even services that are taken for granted – garbage evacuation, vending machines, and the like – are 1. The country’s infrastructure: This requires improving or even proliferating in a country whose enormous amounts of investment. Coupled with size and scope necessitates better communications. the fact that Russia is the world’s largest country by landmass, and the scale of the endeavour is As one of the few institutions that knits the world’s put into stark relief. But when M2M can, for largest country together, Russia’s telecoms example, eliminate the need for fixed lines to companies are leading the M2M charge. And connect a utility to each customer’s meter, the whether it’s a supply chain connecting the Caspian potential for savings become obvious. to the Bering Seas, or a sensor linking a doctor to her patient’s heart, these M2M wins make one 2. Oil & Gas: With infrastructure spread across thing clear: the world’s largest country is becoming multiple regions and production centers located a smaller place.

M2M Now July - September 2011 27 AUTOMOTIVE M2M

EXPERT OPINION

Future-proofing your vehicle in a changing wireless world How do you marry two industries when one moves products from one generation to the next in months while the other has a product cycle measured in multiple years? As John Horn writes, this is a significant challenge facing the wireless and automotive industries today.

There is a little- I have spoken to this issue many times in recent automotive OEM supposed to do? Some have months because the momentum and current chosen to hold on to 2G as long as possible while mentioned fact direction in wireless is to move as many devices and others like Audi have chosen a different path. Audi concerning 2G and applications from 2G to 3G to 4G as quickly as they went to straight to HSPA, a 4G product, to support can. What is driving this shift is the wireless the launch of their Audi Connect vehicles. So who’s it is interesting that network operators’ need to use their spectrum right? Well, both are. more efficiently. it doesn’t get more Let’s first look at 2G. The vast majority of M2M focus – once a 2G In a recent report, The Yankee Group applications can be supported by 2G networks and characterised 3G/4G evolution in the M2M sector that includes many automotive applications. We network is installed, as “a delicate issue” given the choice carriers face: maintain dozens of 2G automotive products today. do they continue to provide network coverage, or These solutions require very little data to provide it costs more to tear do they migrate M2M traffic to 3G and 4G to customers with the information they need. What it out than to leave increase overall spectrum efficiency? makes this profitable for carriers is the fact that these devices require no upfront carrier costs to it running. The M2M space grows and diversifies every year. deploy and little maintenance cost long term, all Along with that growth arises the need for ever- the while drawing from minimal network resources changing technology platforms to support new including spectrum. applications and verticals. Consulting firm Analysys Mason recently forecasted that the There is a little-mentioned fact concerning 2G and number of M2M device connections will grow from it is interesting that it doesn’t get more focus – 62 million in 2010 to 2.1 billion devices in 2020, for once a 2G network is installed, it costs more to tear a 36% year-over-year growth rate. That’s significant it out than to leave it running. The only real growth that no carrier can afford to ignore. I concern should be the possible inefficiency of the believe that much of that growth will come from spectrum usage versus newer network platforms. the automotive sector and therein lies the possible Since the issue is the spectrum – the fix is relatively challenge. straightforward – carriers can reallocate most of the The author is 2G spectrum to 3G/4G networks while leaving a John Horn, Were Audi right? small portion behind to continue 2G coverage. President of With rapid growth and quickly evolving RACO Wireless technologies on the wireless side what is an The fact is that carriers can have most of that

28 M2M Now July - September 2011 spectrum available to them for consumer demand for the network technology. The challenge for smartphones. The remaining 2G spectrum required to support M2M devices will use little data (one Another advantage the original smartphone can use more data than 10,000 M2M The other advantage is that as HSPA networks equipment devices). become faster with each new generational upgrade, the performance of the Audi product will manufacturer Reassurance for the OEM continue to improve. Looking into the future, HSPA The challenge for the original equipment would be a great choice for any product requiring (OEM) is that they manufacturer (OEM) is that they need reassurances high speeds with a long term deployment. As need reassurances that the carrier will support 2G well into the future. OEMs look to new business models for their Some carriers are willing to do this, others are not. vehicles there will be even more demand for 4G that the carrier will One thing is for sure though, there are millions of performance to support how their products are 2G devices deployed on carrier networks today that delivered to the vehicle owner. As a result, the support 2G well into need to be maintained. Most of the 62 million decision on network platform and carrier partners the future. devices reported by Analysys Mason are on 2G becomes even more critical. networks, devices expecting support for years to come. With HSPA being part of the GSM family of products it has backwards compatibility to UMTS, On the 3G/4G side there are some exciting EDGE and GPRS. There is no better way to protect possibilities and products in the automotive world. your technology investment than to choose a As I mentioned earlier, the Audi Connect product is network platform that has a true migration path. using 4G technology today. This innovative product offering requires the great speeds and low latency There are other interesting network choices an that 4G on the T-Mobile provides. OEM can make, most have no way to transfer from past technologies or to move on to the next. This Audi also made a future proof choice by using an should be considered very carefully before including HSPA module. The advantage to this choice is HSPA them in long term planning and deployment. has been chosen by hundreds of carriers around the globe which creates a wide ecosystem of The choice can be 2G, 3G or 4G, but look where products using the technology. The greater the the future is taking your network platform choice worldwide adoption, the greater the future before you jump in.

About the author John Horn joined RACO Wireless as president in May after serving as a leader at T-Mobile for more than nine years. He started T-Mobile’s M2M Channel and during the last six years he has focused specifically on the carrier’s go-to-market strategy, helping them earn recognition as a market leader for M2M services.

John is heading the migration of the T-Mobile M2M business to RACO Wireless, a T-Mobile partner for 10 years with leading tools for wireless data solutions like the Omega Management Suite™ SIM platform. Backed by the power of the T-Mobile network, the company specialises in ease, flexibility and reliability for T-Mobile customers and others in the machine-to-machine industry.

M2M Now July - September 2011 29 INTRODUCING VIDEO High quality C-Level video interviews. Key issues and solutions for M2M. Filmed on location around the world. Available to view at www.m2mnow.biz “………. the video was a stunning success with over 460 downloads in 2 months. The icing on the cake was working with the staff and video crew that made this such an enjoyable, stress-free project”.

Debbie Madden, Marketing Manager, JDSU TALKING HEADS………

For more information contact: Chris Beck +44 (0)1732 897652 • [email protected] RESEARCH REVIEW

Fleet management systems in Americas to total 6.1 million units by 2015 According to a new research report from Rickard Andersson telecom analyst at the Sweden-based firm Berg Insight, the number of fleet management systems deployed in commercial vehicle fleets in North America was 2.1 million in Q4 2010. Growing annually at 12.6%, this number is expected to reach 3.8 million by 2015.

In Latin America, the number of installed fleet “Today, managers in North America generally know management systems is expected to increase from that fleet management technology can help their 0.9 million in Q4 2010, growing at a compound businesses reduce costs and improve efficiency. In Latin annual growth rate (CAGR) of 20.6% to reach 2.3 America, an educational process may, however, be million in 2015. Fleet management vendors such as needed in order to increase the awareness among Qualcomm, XATA and PeopleNet remain largely prospective users about the benefits that fleet focused on the high end trucking segment. management solutions bring beyond mere security related features,” said Andersson. Non-trucking segments such as delivery, utility and service are addressed by another group of vendors New regulations related to road transport activities Richard including FleetMatics, Networkfleet and Wireless also have a major impact on the market environment. Andersson: Matrix. High end vendors tend to offer customised The recently implemented CSA safety scoring system Massive growth solutions via a consultative sales process, whereas in the US to identify high-risk motor carriers requiring in fleet management others adopt indirect sales models based on interventions is one example. In Brazil, the mandated distributors, solution sellers and integrators, and offer installation of tracking units in all new vehicles is also more standardised solutions. an important influencer. Wearable medical devices market to blossom The market for wearable medical devices will reach “A number of short range wireless protocols are more than 100 million units annually by 2016 as a jostling for position in this emerging market and they range of factors combine to drive consumer and line up against traditional tethered connectivity such healthcare adoption, according to ABI Research’s as a USB cable to a computer as well as emerging report, Wireless Health and Fitness. M2M offerings,” said Jonathan Collins, ABI’s principal analyst for wireless healthcare and M2M. These devices, ranging from heart rate monitors for measuring an individual’s performance during sports While the sports and fitness market has been embedding to wearable blood glucose meters, will all enable proprietary short range wireless connectivity in devices greater detail in tracking, monitoring and care – often for many years, it has remained a niche market. The through connections. market is now reaching a key growth period with commitment to standardised specifications. Ultra-low power wireless technologies such as single mode Bluetooth 4.0, existing proprietary systems and The professional healthcare market is also starting to the planned 802.15.6 specifications are combining look at the potential for embedded wireless with mobile handsets and social networking communications in wearable devices for in-hospital applications to drive adoption of a new generation of and remote patient care. body-worn sensors. These can automate the supply of data on an individual’s activities. For full reports on M2M research go to: www.m2mnow.biz

32 M2M Now July - September 2011 CASE STUDY

Eagle-eyed view of real-world M2M use In machine-to-machine (M2M) communications a lot of vendor differentiation is down to technology. Occasionally you come across a company that differs from its rivals for other reasons. I had a great conversation the other day with Bryan M Eagle III, the President of ROAMWORKS USA, and a guy with so much experience in this space that he’s probably forgotten more than I’ve yet learned.

Founded in 2000, ROAMWORKS is a software and enhancements or our own are added every five weeks. solutions provider specialising in remote asset management. Its middleware platform called ROAM “For example, when we delivered a platform for (Remote Operational Asset Management), its (international couriers) DHL, they said our road application suite and solutions give organisations the vehicles won’t need a Speeding Alarm. We looked at ability to track and monitor their mobile and/or fixed them, but they had installed speed governors and assets remotely. And they can do it in real-time through were adamant this wasn’t needed. In the end we satellite or terrestrial wireless communication networks. simply took it out of the reporting (not the functionality). Then a red dot appeared, signifying a Bryan M Eagle III Based in Dubai, ROAMWORKS FZ, LLC, has an R&D speeding alarm. And another. They said there must be (above) talks to centre in Bonn, Germany. The principal investor behind something wrong with your systems. We said, maybe: the editor ROAMWORKS is the giant Mansour Group. With we’ll check. It turned out that almost all of the Jeremy Cowan annual revenues exceeding US$4 billion, the Mansour governors in this middle eastern territory had been about staying Group has extensive, long-running partnerships with disengaged. Capturing Speeding Alarms is now a flexible to meet multinational firms like Caterpillar, Phillip Morris, major part of checking driver performance,” said Eagle. clients’ needs. General Motors and McDonald’s in the Middle East, Africa and Europe. The US division of ROAMWORKS “I liken it to building a house,” he added. “On the was launched last October. plans the Master Bedroom is here, and the Living Room is here. Then you build the footings and people Eagle told M2M Now that some M2M system vendors start using the building and they say, ‘I don’t want the deploy “legions of SIs (system integrators) to go out closet here.’ But you’ve got load-bearing walls in and build solutions for people,” he said. “But we keep place. It’s a bit like software architecture. When things it internal to ourselves and work with clients. Some of start to change these become major overhauls. Our these vendors have large numbers of staff, but system is designed to have very few of these walls. We wireless is not in a plug-and-play state. Others – both give customers the tools to have movable walls. medium and large companies – don’t want to deploy resources to build the applications themselves. But in Eagle is heading up ROAMWORKS US, which actually partnership with them, and their knowledge of their covers all the Americas. Having launched the new business, we’ll build the best solutions for them.” division late last year, they are now undertaking market tests as far apart as West Virginia, USA and Business models vary, of course. “We have a very Quito, Ecuador. There are no roll-outs to report yet, flexible approach. Some of our customers have and he’s unsure where the orders will come from first. relationships with their mobile network operator,” But following a recent article in the Wall Street Journal Eagle continued. “Others want us to do everything about the lack of telematic monitoring systems in the from soup to nuts.” They want ROAMWORKS to region’s construction equipment he feels it won’t be manage it in a cloud, and they will log in and use it. long in coming. “In construction, Komatsu, John “What we found from delivering applications to Deere and Caterpillar are about the only ones that customers like Coca-Cola and FedEx is that you soon have it. People today are buying the equipment that is get ‘The Call’. ‘We love this and that,’ they say, ‘but it monitored. If we’re talking about a $300,000 piece of would be neat if it could also do …’ There are always kit, is an $800 system and a $15-20 per month changes and enhancements to be made, so the monitoring fee too much to ask?” he wondered. platform we’ve built allows rapid application delivery. There’s a five-week development cycle, then customer I know what I think, but I guess the answer’s up to you.

M2M Now July - September 2011 33 THE BACK PAGE

Everything Everywhere appoints new Director of Transformation and surprises with new CEO Perhaps you should file this one under ‘2 steps forward, 1 step back’. On the plus side, UK mobile operator Everything Everywhere has appointed former Tesco Telecom’s Chief Operating Officer, Mark Horrobin, to the role of Director of Transformation for the brand.

Everything Everywhere was created in 2010 when Warehouse, Onetel and AOL. He will be employed Orange UK and T-Mobile UK merged. A as a consultant, and his main role will be to organise spokesperson said: “We knew that overseeing the and coordinate Everything Everywhere's four key areas merger was going to be no easy feat. So we needed of transformation: The HR project, 'Our People' an to find someone who has not only had an exemplary incentive for staff to 'be the best', 'Our Customers', career in the industry but has also had hands-on which aims to create and maintain high value growth experience of managing such a big project, and Mark in customer numbers, and finally, 'Our Future', which was exactly what were were looking for.” concentrates on the use of data, and the actions needed in order to become a data-centric telecoms He has previously worked at The Carphone company.

Car enthusiast, Tom Alexander is leaving the company to pursue other interests. And change the CEO’s door sign while you’re up there This news comes hot on the heels of a surprise As reported by our sister title, VanillaPlus announcement that Everything Everywhere’s CEO, Tom (www.vanillaplus.com), the resignation caught the Alexander had resigned after barely a year in the job. market unawares. Alexander had been successful in Alexander was made CEO of Orange’s UK business in setting up the UK’s Virgin Mobile and took a career 2008, and then CEO of the amalgamated operator break in 2006 to pursue his passion for motor racing. when the UK interests of France Telecom and Deutsche Telekom’s mobile subsidiaries were merged Alexander’s replacement was announced at the same , in July 2010. time as his departure. He is Olaf Swantee, previously a new CEO at non-executive director at Everything Everywhere. He took Everything Citing a mix of personal reasons and the desire to over as Chief Executive Officer on September 1, 2011. Everywhere pursue other interests for going, Alexander will advise the company until the end of 2011. “I’m proud of Olaf Swantee, an economics graduate with an MBA what we’ve accomplished,” he said. “We conducted a from the Ecole Supérieure de Commerce de Paris – École rapid integration of the new company, completed a des Affaires de Paris (ESCP-EAP), was hitherto France companywide restructuring, and maintained good Telecom’s Executive Vice President, Operations in Europe commercial momentum throughout, delivering record (except France) and Sourcing. Prior to this, Swantee had retention levels and growth on our contract customer 17 years experience in the IT industry, holding senior base across both brands.” leadership, sales and marketing positions with HP, Compaq and DEC in Europe and the United States. No mention was made of trends in the overall customer base or earnings. In its results for the second It had been thought that the CFO and Deputy CEO, quarter of the year Everything Everywhere announced would stay on, but one of Swantee’s a 3.4% fall in revenue to £1.66 billion (€1.93 billion) first moves following his appointment was to and a fall in overall customer numbers from announce a new Board with no role for six senior 27,931,000 to 27,541,000. management colleagues, including Moat.

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